Seoul shares extend losses late Monday morning on chip uncertainties

Officials work at a dealing room of Hana Bank in Seoul, Aug. 18. Yonhap

Korean stocks extended losses late Monday morning amid a slump in chip shares, as investor sentiment was dampened by uncertainties over U.S. President Donald Trump's potential tariff measures on semiconductors.

The benchmark Korea Composite Stock Price Index (KOSPI) fell 37.9 points, or 1.17 percent, to 3,187.76 as of 11:20 a.m.

The index opened lower and remained in negative territory, weighed down by heavy foreign selling.

Market jitters were heightened ahead of a planned summit between Trump and Russian President Vladimir Putin, with concerns growing after Trump hinted at new tariffs on steel and semiconductor products.

In Seoul, major chip and tech shares traded lower.

Chip giant Samsung Electronics sank 1.68 percent, and its rival SK hynix retreated 2.89 percent.

Leading battery maker LG Energy Solution decreased 2.28 percent, and defense giant Hanwha Aerospace dipped 1.36 percent.

The local currency was trading at 1,385 won against the greenback at 9:15 a.m., down 3.2 won from the previous session.